Motor car purchase

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Anshuman Basu (Querist)
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08 August 2018 We are pvt Ltd Company. We purchased Luxury car (BMW) in name of our company. We paid Insurance for car. Now question are - Is we get ITC for car purchase, Insurance premium or Car maintenance?
2nd question is, If my company sell the car (BMW) what is the procedure in point of GST regim ?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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08 August 2018 You will not get ITC on car purchase, insurance and maintenance.
GST applicable on sale value in excess of book value.

Anshuman Basu

Anshuman Basu (Querist)
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08 August 2018 I have Toyota Corolla Altis registered in my Firm name, now planning to sell same. What GST is applicable on sale of car as its registered in company name.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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08 August 2018 GST payable on sale value exceeding book value.

Anshuman Basu

Anshuman Basu (Querist)
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08 August 2018 Sir I am confused that some of expert said that No GST is applicable on sale of used car by a company or Firm (who is not involved in trading of cars as main business) and some of expert comments that GST is applicable ..
As per schedule 1 of CGST Act , Permanent Disposal of business Assets will be treated as supply.
Sir what is the rule of sale 2nd hand car in name of the company?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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08 August 2018 18% GST applicable on sale value excess of book value. No GST on case sale value less than book value.

Anshuman Basu

Anshuman Basu (Querist)
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08 August 2018 Sir what is the calculation to sale figure if I sell used car. if you give some example I will obliged

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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08 August 2018 Give your sale value of car and depreciated value.

Anshuman Basu

Anshuman Basu (Querist)
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08 August 2018 Sale Value: Rs 1678969/- and WDV 1st April 2018 Rs. 1562127/-